Most of the awareness programs on GST by our Government held in urban areas. However, the traders of rural areas are still unaware about benefits of proper accounting and taxation. Most of the rural traders are still not using any type of accounting software for their business. Our government has now started many initiative programs to educate the traders on digital literacy and make them understand and realized the utilization of proper accounting, and how it is beneficial for calculating their taxes. Because the intention of our government is not to increase the taxes but to increase the revenue by implementing GST and the GST would help in converting the economic energy in to real growth.
On a recent survey conducted by Boston consulting Group, it has been noted that over the next four years, more than half of the new internet users in India will come from rural communities, by 2020 rural users will make up about half of all Indian internet users. As most of these users are well affluent, if a proper planning is chalked out then the rural economical market will rise on its top. At present India’s per capita GDP in rural regions has grown at a Compound Annual Growth Rate (CAGR) of 6.2 per since 2000. Keeping this in mind the Government of India has planned various initiatives to provide and improve the infrastructure in rural areas which can have a multiplier effect in increasing movements of goods, services and thereby improve earnings potential of rural areas subsequently improving consumption.
So, here comes the necessity of proper and accurate accounting maintenance which the rural traders are needed to be teach. Many government organizations are now conducting seminars and educating them about the advantages of purchase management, stock management, proper invoicing, GST filing and how to manage tax filing, which they can easily manage by installing a standard accounting ERP. Young generation is very much excited about the implementation of the new reformed tax law because GST has help them in creating lot of jobs for young generation.
We being an I.T company were busy in developing and designing software. We were very happy with our job. We never bothered about the proper accounting system and neither had we ever tried to manage our taxes in an organized way. But, when our Government launched the GST and make it mandatory for every business sector, then only we took our initiative to learn that what GST exactly is. We understood and realized the utilization of proper accounting, and how it is beneficial for calculating our taxes. Therefore, we took our initiative to provide hands-on guidance about taxes to traders of rural areas.
From 15 July, we have started a yearlong campaign about the benefits of accounting. We are demonstrating the traders on how billing should be done under GST regime, how the invoices should be prepared, and how tax returns should be filed. We will continue our campaign till 15 Aug 2018.